For the first nine months of the 2023 financial year, the SBM Group posted after-tax profits of Rs 4.1 billion, representing growth of 43% compared with the same period in 2022. This performance was mainly driven by a substantial improvement in the profitability of SBM Bank (Mauritius) Ltd. The Group’s performance is encouraging and demonstrates that the Group is moving in the right direction, while coping with a dynamic market environment. Reflecting its robust foundations, the SBM Group posted a capital adequacy ratio of 20.6% at September 30, 2023, representing an increase of 1.5% compared with the end of December 2022.
The SBM Group has pursued its strategic initiatives at the level of its various entities, while building on its solid business model and continuously strengthening its internal capabilities. While the investment securities portfolio grew, Group revenues were buoyed by loans and other receivables allocated to non-bank customers. Net interest income rose by 24.2% to around Rs 8 billion. This performance boosted the Group’s operating profit, which reached almost Rs 12 billion, registering an increase of 18.7% compared with the corresponding period last year.
In the period from January to September 2023, return on average shareholders’ equity improved significantly to 18.4%. On the other hand, the Group’s gross and net loss ratios improved to 6.9% and 2.1%, respectively, at September 30, 2023, demonstrating the efforts undertaken by the Group in terms of risk management and the prudent approach adopted in terms of developing its activities in the various markets in which it operates.
Commenting on this performance, Sattar Hajee Abdoula emphasized that “the SBM Group is pursuing its development projects and growth trajectory, while maintaining healthy financial ratios”. For the Chairman of SBM Holdings Ltd, “this remarkable performance testifies to the soundness of our strategic initiatives and our sustained efforts to make the organization resilient and competitive. The Group will continue to pursue attractive growth opportunities while executing its strategies in a prudent manner”.
The SBM Group remains committed to pursuing its strategic objectives in the jurisdictions where it operates. It is in this context that the Group will remain on the lookout for attractive growth opportunities, with a constant focus on enriching its product and service offering, its digital proposition and strengthening its proximity to its customers. Importantly, these initiatives will be underpinned by a continued strengthening of the Group’s risk management and human capital framework, with the aim of promoting asset quality and healthy, sustainable business growth.
As the Group continues to make progress, particular emphasis will also be placed on its ecological transition. Based on the sustainable development objectives set by the Mauritian authorities, the Group is committed to gradually implementing its Sustainability Agenda. The aim is to position the Group as a benchmark, not only in terms of banking and non-banking financial services, but also as a promoter of the country’s sustainable and inclusive development.
